Stock of the day, for swing trade next week

Screening Filters

1. Price: 15–100 USD

   • Purpose: Focus on reasonably priced, actively traded stocks suitable for swing trading.
   • Rationale:
     • Below $15 you often get into “penny stock” territory, which can be extremely volatile and manipulated, making risk management harder for a 1-week swing.
     • Above $100, position sizing and percentage moves can be less convenient for many traders (larger capital required per share, spreads can be wider on some names).
     • This range tends to capture a broad universe of liquid, institutionally followed stocks that are more technically reliable for short-term patterns.

2. Relative Volume ≥ 1.5

   • Purpose: Find stocks trading with at least 1.5× their normal volume, signaling unusual interest right now.
   • Rationale:
     • Elevated relative volume usually reflects strong buying or selling interest, often tied to catalysts (news, earnings, sector moves).
     • For swing trades, strong volume confirms that price moves are backed by real participation, improving reliability of technical signals and making it easier to get in and out at fair prices.

3. Monthly Average Dollar Volume ≥ 3,000,000 USD

   • Purpose: Ensure sufficient liquidity in dollar terms.
   • Rationale:
     • Dollar volume (price × shares traded) is a practical measure of how much money flows through the stock.
     • A minimum of $3M/month filters out thinly traded names that can have large bid–ask spreads and slippage, which are dangerous for short-term trades where entries and exits need to be precise.
     • This helps make it more realistic to open and close a swing trade next week without moving the market or suffering poor fills.

4. Moving Average Relationship: PriceAboveMA20

   • Purpose: Capture stocks currently in a short- to medium-term uptrend.
   • Rationale:
     • The 20-day moving average is a common swing-trading benchmark for the recent trend (about one trading month).
     • Requiring price to be above the 20-day MA means the stock is already in an established upward bias, which statistically favors long-side swing trades over the coming days.
     • This avoids trying to “catch a falling knife” and instead aligns trades with existing momentum.

5. One-Week Rise Probability ≥ 75%

   • Purpose: Explicitly target stocks with a historically high estimated probability of rising over the next week.
   • Rationale:
     • This filter is directly tied to your desired holding period (“next week”).
     • It likely comes from a quantitative model (e.g., historical pattern analysis, factor models, or machine learning) that estimates the odds of a positive 1-week return.
     • By setting the bar at 75%, the screener aims to bias the list toward names where the short-term setup has statistically favored gains in similar past conditions.
     • It doesn’t guarantee a profit, but it systematically tilts the selection toward higher-probability short-term moves.

Why Results Match Your Swing-Trading Request

• The time horizon (next week) is directly addressed by the one-week rise probability and the 20-day moving average trend filter. These focus on short-term behavior rather than long-term fundamentals.
• The liquidity-focused filters (price range, relative volume, and dollar volume) ensure that the candidates are tradable with reasonable spreads and depth, which is critical for entering and exiting swing trades efficiently.
• The trend and momentum filters (PriceAboveMA20 + elevated relative volume) search for stocks already moving upward with strong participation, which is exactly the kind of setup many swing traders look for when planning trades for the coming week.

Taken together, these filters narrow the universe to liquid, actively traded stocks in short-term uptrends, with historically favorable odds of rising over the next week—making them well aligned with your goal of finding candidates for swing trading next week.